"ESg", that's how I currently see it. The Environmental and Social dimensions are developing with great vitality, but Governance may be lagging behind.
The "E" is today more active than ever. The huge flow of projects and investment in decarbonising technologies, which are rapidly approaching their maturity and cost competitiveness, anticipates an enormous change in the statu quo sectoral and geopolitical.
The push of the "S", with the pandemic as a catalyst, is transcending the traditional CSR. Social entrepreneurship and the focus on people's well-being are at all-time highs. Much remains to be done, but the trend is positive.
However, the "G", as I understand it, as Management, has the risk of being a mere addend and not a transversal factor that makes the set add up to much more than three. I observe some situations in this sense:
- Plans and narratives of Sustainability disconnected from business models.
- Sustainability functions with limited organizational attributions in practice.
- Investment decisions that do not take into account climate action.
A capital and transformative “G”, which transcends mere formal requirements, will only exist in organizations with a genuinely committed leadership to the cause. Greenwashing also starts with “g”.